PARIS (AFP) - The French-British defence electronics group Thales and the European aerospace group EADS do not have a plan to merge, EADS co-chairman Philippe Camus said.
A spokeswoman for the European Aeronautic Defence and Space Company said that Camus had told a meeting of analysts and financiers that "a merger of EADS and Thales is not on the agenda".
Thales declined to comment.
Recent press reports have speculated that the two groups might merge to create a giant European rival to compete with the US behemoth Boeing.
After Camus spoke, the price of shares in Thales fell by 2.72 percent to 32.18 euros but EADS stock rose by 1.57 percent to 23.98 euros.
The matter was also raised during talks in London on Thursday between French President Jacques Chirac and British Prime Minister Tony Blair, an aide to Chirac said in London.
"The president told Mr Blair that we have the willingness and the objective to consolidate Thales," the aide said.
However, Chirac added that there was "no merger plan under way and various contacts continue," the member of his delegation added.
11/18/2004 - 19:17 GMT - AFP